Discuss • You have been assembled to analyze and assess the Nikei. D incident. In 15 minutes you are to report back to Phil Knight (CEO) about: – What was the reason for the Nikei. D disaster? – What are the implications of the Nikei. D incident for Nike’s online marketing strategy (name two)? – Based on your analysis provide two recommendations for improving Nike’s online marketing strategy.

Online Branding

Online Branding A key marketing challenge in today’s multichannel, multi-device world is the integration of digital marketing opportunities into the traditional marketing mix. Leveraging the capabilities of the Internet’s network connectivity and interactivity to drive revenue is of paramount importance to today's marketer.

A Crisis? • “Today’s marketing world is broken…We are still too dependent on marketing tactics that are not in touch with today’s consumer” – Jim Stengel, Global Marketing Officer, Procter &Gamble • “Used to be, TV was the answer. The only problem was it stopped working sometime around 1987. ” – President GM North America • “Broadcasting an ad on television or in a newspaper is admitting you have no idea who your customers are. ” – Gary Loveman, CEO, Harrah’s

• Today the customer is in charge and whoever is best at putting the customer in charge makes all the money. Stephen F. Quinn, Senior vice president for marketing, Wal. Mart. • Consumers wrest control away from brand management control freaks. . . get over it. Turning your brand over to the consumer is taking control and in fact, if you do, they'll return it to you in better shape. Russ Klein, President for global marketing, innovation and strategy, Burger King

MKTG 101: Brands • • What is a brand? Do we need brands? Who creates brands? How do you create a brand? • How do you value a brand?

Branding in the 21 st Century brand immersion • What is brand immersion? • Tell me about a time that you felt immersed in a brand.

Why advergaming? • Advergames blur the distinction between entertainment and advertising. – Benefit? – Web audiences can be drawn in long enough for marketers to deliver their messages. – More improtantly, message appears „un-pushed“ • Advergaming used in conjunction with a competition for prizes and product promotions stimulates a whole new realm of peer-to-peer marketing. – Benefit? – A viral explosion occurs as users share the game competition with friends and ultimately bring others into contact with your brand.

What we know of the Game. Marketing Link: ØGames generate high degree of attention ØGames generate comparatively long attention span ØGames generate positive emotions which the player associates with the product / brand ØIf additional information about the product / brand is offered, it will be received favorably=> credible source! Ø Games decrease the propensity for critical thinking during game-play: the player will not work up counter-arguments against marketing propositions

open questions • Games as a vehicle for expression – Relationship with joys of interaction, immersion and gameplay – BUT do we forget the product? Neopets? Guiness? • Gameplay – advertising (tradeoff? ) – Is it possible for the message to get through?

In Sum: to drive the brand… Ø…websites need to be more than a communication channel to customers. they must be a proposition in their own right. Ø…websites must be an extension of the products and services that a brand provides to its customers. Ø…marketers must understand that as soon as content becomes digital, customers expect more from it. Ø…you have to allow for co-creation and create “Prosumers”. ØThe edge boundaries between content, product, service, advertising, and application have gone.

Miller’s Man Laws • A ridiculous invention but one that obeys the branding law of the 21 st century.

Extend Marketing Space • Healthy Choice has used its online games to drive people to supermarkets to actually buy its products, by offering the chance for customers to print "mystery coupons" • A Hanes sweepstakes promoted the apparel company's new "tagless" t-shirt by using a tag as the virtual game piece: "Lifting" it with the mouse revealed the visitor's prize.

turning a digital brand physical

In the 21 st century, this is what your job is all about: • Find ways to make your brand more experiential and hence more memorable! – careful spatial planning – live, real-time, event-based nature of the brand interaction • Shift consumers’ perception and practice of what constitutes a marketing ‘space’. – Immersion marketing seeks to achieve a much more proximal relationship between consumers and brands. • as theorists of the ‘experience economy’ put it: – ‘the more effectively an experience engages the senses, the more memorable it will be’ (Pine and Gilmore, 1999: 59).

discuss You have been hired to lead the strategy task force for digital marketing at Buick. The marketing director is at a loss because the brand seems to be losing ground with the 18 -35 year old demographic.

Buick • On a conceptual level, what do you suggest needs to be done. • On a concrete level, develop a marketing mix to achieve the objective of brand renewal.